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Multiplier
An economic factor that quantifies the impact of a change in investment, government spending, or other economic variables on the overall economy, often leading to a multiple increase in income or output.
Liquidity Preference Theory
A theory suggesting that people prefer to hold their wealth in liquid form for ease of transactions and as a precaution against uncertainty, influencing interest rates.
Demand for Money
The need or desire to hold money as opposed to investing or spending it, influenced by factors such as interest rates and economic stability.
Liquidity Preference
The desire of consumers and businesses to hold onto cash or easily convertible assets rather than making long-term investments or transactions.
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